PRESENTATION TO THE PORTFOLIO COMMITTEE

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PRESENTATION TO THE PORTFOLIO COMMITTEE   10
AUGUST 2005   AMENDMENT BILL   BY TSHEPO
MALATJI AND EPHRAIM MONYEMORATHO   DEPARTMENT OF
WATER AFFAIRS AND FORESTRY
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What is being amended?

• National Forests Act, 1998 (Act No 84 of 1998)
• National Veld and Forest Fires Act, 1998 (Act No
  101 of 1998)
• Wattle Bark Industry Act, 1960 (Act No 23 0f
• 1960)

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What are these Acts about?

• National Forests Act, 1998 (Act
• No 84 of 1998)
• Sustainable management of forests
• Protection of forests and trees
• Sustainable use of forests
• Community participation in all aspects
• of forestry

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Wattle Bark Industry Act, 1960 (Act No 23 0f
1960)

• Provides for control of the wattle bark industry
• Main mechanism of control is through
• an agreement with the Minister of
• DWAF

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Process followed

• 1 Recognised need for change
• Due to implementation experience
• To provide more completely for the new
  regulations
• To support the restructuring process

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Process followed

• 1 Developed draft Bill
• 2 Internal consultation
• 3 Submitted to Office of the Chief Sate Law
• Advisor (CSLA)
• Bill submitted for the first time, and approved
  by Cabinet on 15 July 2003
• 5 Bill published for public comment (Notice 1878
  18 July 2003)
• 6 Bill sent to focus group of stake holders
• 7 Comments worked into a revised Bill

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Process followed

• 8 However, a need for additional amendments
  became evident
• Due to long time lag in resolving land claims it
  became clear that the proposed Trust provision
  had to become a long term entity
• Therefore amended the proposed Trust provision

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Process followed

• 9 Due to these changes DWAF had to resubmit to
  CSLA
• 10 Tabled in Cabinet on 8 March 2005
• Cabinet requested DWAF meet with National
  Treasury to address the administrative
• mechanism
• for the management of the Trust
• 12 DWAF met with Treasury on 15 March 2005 where
  agreement was reached on the administrative
  mechanism

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ORGANISATIONS CONSULTED

• NFAC
• CEC
• Wattle Bark Industry
• Provincial Conservation Agencies
• SANParks Board
• Dept of Public Finance
• Dept of State Expenditure
• Dept of Public Enterprise
• Dept of Agriculture

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ORGANISATIONS CONSULTED CONTINUED

• Dept of Land Affairs
• Dept of Environmental Affairs and Tourism
• SATGA
• KZN Fire Protection Association
• Forestry SA
• SAFCOL
• Lessees
• AgriSA

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PROPOSED AMENDMENT

• Per legislation and section

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AMENDMENTS TO THE NATIONAL FORESTS ACT, 1984 (ACT
NO. 84 OF 1998) (NFA) Section 7(1) of the NFA
Prohibits the cutting, damaging, disturbing or
destruction of any indigenous living tree in
natural forests. Deletes living. Reasons 1. A
lmost impossible to determine whether a log or
plank originates from a dead or living
tree. 2. Consistency section 15 relating to
protected trees does not contain the word
living.
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• Section 8(1) of the NFA
• Delete the word specially in the term
  specially protected areas.
• The impression is created that specially
  protected areas is a different category of
  protected areas.
• 2. Consistency

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• Section 15(1)
• Minister may license certain acts in respect of
  protected trees.
• Ministers powers extended to make provision for
  exemptions on advice of the National Forestry
  Advisory Council.
• Reasons
• Licensing sometimes inappropriate e.g. the use of
  the Marula fruit.
• 2. Bring in line with the exemption in respect of
  indigenous trees provided for in section 7(1).

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Section 17(2) Extend powers of Minister to
prevent deforestation of and the rehabilitation
of natural forests and woodlands. Reason Current
ly only protected if protected under section
12(1) that deals with protected trees.
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Section 53(2)(j) Current version Minister may
make regulations in general carrying out the
purposes and provisions of the Act. Amended to
any matter which is necessary and expedient to
prescribe for the proper implementation of the
Act. Reason Chief State Law Adviser (CSLA) of
the view that the current general provision not
wide enough for the draft regulations to be
promulgated once the Amendment Bill comes into
operation..
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Section 53 Amend to extend regulating powers of
Minister. Section 53(2)(f) authorizes the
Minister to make regulations for the management
of State forests. Two specific powers are
added 1. Powers for the mensuration of forest
produce and products are added. Reason Mensurati
on integral part of the disposal of forest
product and forest produce. Minister had this
power under the previous legislation.
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2. Regulation of access for recreation Reason I
mpossible for DWAF to regulate access to both
private and state forests. Provisions of
section 20 that is intended to regulate this
aspect was found to be inadequate.
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• Section 53(5)
• Current The reference to specific
  regulation-making powers in this section does
  not limit the general regulation-making powers
  conferred by it.
• Amended The generality of the powers conferred
  by subsection (2)(j) is not limited by the
  provisions of the preceding paragraphs.
• Reasons
• Changed on advice from the CSLA.
• 2. Necessitated by the changes made to 2(j).

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Section 62(2)(c) Certain acts in respect of
protected trees an offence. Amend to expand
protection for temporarily protected trees.
(Section 14(2))
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• Section 63(2)(a)
• Anyone who without a license cuts, disturbs,
  damages, destroys, removes or receives seven-week
  ferns is guilty of a first category offence.
• Extended to all forest produce and made a lesser
  third category offence.
• Forest produce is defined as anything that
  appears or grows in a forest, including
• any living organism, and any product of it, in a
  forest and
• b) inanimate objects of mineral, historical,
  anthropological and cultural value.

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Nation Veld and Forest Fire Act, 1998 Sections
9(4)(d)(ii) Highest fire danger rating
high. Now amended to make provision for a fire
danger rating of extreme.
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Section 10(1)(b) Requires Minister to broadcast a
fire danger rating of high from three
television stations three radio stations two
different news papers Country is divided into
separate fire danger rating regions. In some
regions this is not possible. Reduces radio and
television channels to one.
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The Wattle Bark Industry Act, 1960 Section
2 Current Minister may request an association
of wattle bark growers to enter into an
agreement with manufacturers on any matter
affecting the wattle bark industry. Minister
may publish agreement in gazette, which then
becomes binding on all growers and
manufactures. Under certain circumstances the
Minister may determine terms of an agreement
between growers and manufacturers. Repeals
section 2 deregulate the wattle bark industry.
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LEASE RENTAL TRUST

• Singisi and Siyaqhubeka leases signed in 2001
• Amathole and Mountain to Ocean (MTO) signed in
  March 2005
• Lease rentals due to rightful owners of the land
• Land claimant communities or tenure
• reform beneficiaries
• Rentals collected up to date

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LEASE RENTAL TRUST

• Singisi Forest Product R26.9 m
• Siyaqhubeka Forests R26,5 m
• Amathole Forestry Company R1,0 m
• Mountain to Ocean R1,7 m
• Total R56,1 million
• The rental are invested for rightful owners
• Will be paid with interest accrued

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IDENTIFICATION OF LAND OWNERS

• DLA Regional Land Reform offices
• DWAF assisted the DLA offices to
• identify adjacent communities with
• land rights in all areas affected
• DLA has to finalize the process according
• to their Communal Land Rights Act
• DWAF and DLA to assist
• communities to form legal entities to
• receive rentals

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IDENTIFICATION OF LAND OWNERS CONTINUED

• Regional Land Claims Commission
• Through DFID funding DWAF assisted
• the following commissions to fast track research
  on Land Claims Mpumalanga, Limpopo, Eastern
  Cape
• Since then no land claim has been settled
• on the affected areas
• Some are gazetted but no finalization

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IDENTIFICATION OF LAND OWNERS CONTINUED

• The rental collected causing a management
  headache for DWAF
• Poor communities waiting for their monies
• A danger to the continuation of the leases

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ESTABLISHMENT OF TRUST

• The trust will be established to
• manage the lease rentals until land owners are
  identified and confirmed
• by DLA
• Invest these monies on behalf of these
  communities

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ESTABLISHMENT OF TRUSTCONTINUED

• Assist communities to form legal entities e.g.
  Trusts, CPAs
• Pay over the monies to communities
• Assist them in managing their monies

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ESTABLISHMENT OF TRUST CONTINUED

• Make sure that communities have financial systems
  that can be audited (PFMA)
• Continue to collect rentals on behalf of
  communities

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ESTABLISHMENT CONTINUED

• Managed separately from the normal financial
  systems of the Department
• Mechanics agreed with Treasury
• Audited on an annual basis

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DWAFS DILEMA

• The only way land rights holders can be
  identified is through
• DLAs processes
• DWAF can not pay the rental monies to
  communities before
• they are confirmed by DLA